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Small business loan application was denied due to what?

loans are most common in small and micro enterprises in the development process, but how hard? According to insiders, the three reasons:

firstly, poor operating conditions

due to increasing competition, small business sales declined year by year, in this case, banks in order to guarantee successful recovery of the loans, not easily lending to small business owners.

two reasons: lack of collateral

does not provide mortgages that meet Bank requirements, most small and micro enterprise "loans" the main reason, unable to obtain bank financing is normal.

reason three: the loan purpose is not clear

If the borrower's loan is not clear, and the trade is not real, is also unable to obtain bank loans. So, want to apply for loans for small and micro businesses, be sure to use loans from lending institutions to provide clear proof.

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